Social Security Income: Ideas To Help You Maximize Your Social Security Benefits

There's a lot of decisions to make, both emotionally and financially, when you prepare to retire. One of the biggest choices you will need to make is when to start collecting your Social Security benefits. A number of questions you'll need to consider include:

Should you collect Social Security at 62 or 66, or even later?

When should your wife or husband start taking benefits? Here are some guidelines to help you get the maximum Social Security retirement income you are entitled to:

Improve Your Social Security Income:

Your Social Security retirement benefits is based on your highest 35 years of earnings so it's essential to get as many "high earning" years in as you can. Therefore, continuing to work just one year more in a high compensating job could make an impact in your retirement income.

Delay Applying for Your Social Security Benefits:

You are penalized for every month you take your Social Security before you reach your full retirement age, with the maximum penalty being 25% in instances where you start receiving benefits at age 62. While receiving your benefits early might be attractive, those who are patient can raise their Social Security benefits by approximately 30% (including COLA increases) by waiting until full retirement age.

Work Part-Time During Retirement:

While you are restricted in the amount you are allowed to earn while you're under full retirement age and collecting Social Security, after you reach full retirement age you can get paid as much as you choose without your retirement benefits being reduced. One other idea is to take a part-time job after you retire so that you can postpone collecting Social Security benefits.

Apply for Benefits Based on Your Husband or Wife's Earnings:

If you're married, you are able to withdraw Social Security spousal benefits based on your own income, or you may collect half of your spouse's benefit, whichever is greater. If you and your spouse aren't the same age, you'll need to do some planning to make sure you maximize your benefits, but this is definitely a strategy to look at if one spouse earns substantially more compared to the other, or if one spouse has been out of the work force for quite some time.

Tap Into Your Ex's Benefits:

The spousal benefit goes for ex-spouses as well. If you were married to your ex-spouse for not less than 10 years, and you are not currently married to someone else, you'll be able to collect up to 50% of your ex spouse's benefits. It's not necessary to contact your ex-spouse to apply for your benefits; in fact they will probably never know unless you tell them, and it will not impact their own benefits in any way.

These are just some tips to help you maximize your Social Security benefits. Withdrawing your Social Security benefits can be an extremely complicated decision and may affect the rest of your retirement, so remember to consult with a professional before you make any decisions on your own.

Brand New Policies Mean Much More People Doing Roth IRA Conversions In 2010
As we near the end of 2010, countless people have already done Roth IRA conversions, and many others are questioning if a Roth IRA conversion in 2010 is the right move for them.

Important Facts About Financial Planners
There are many different types of financial planners. Not only are financial advisors compensated differently, but the services they provide vary quite a bit as well. Here is a quick summary of the different types of financial advisors and how they can help you.

Social Security Benefits: A Useful Discussion On Terms & Conditions To Get The Benefit And How To Get After A Family Member's Death
The loss of a family member can be devastating, both emotionally and financially. Social Security is meant to be a survivor program as well as a retirement program. Most people are aware of Social Security retirement benefits, but are you aware that there are Social Security death benefits as well?

Social Security Spousal Benefits: One More Key To Your Social Security Decision
Can a spouse collect on her husband's social security if she reaches retirement age before her husband? No. In order for a wife to collect Social Security benefits on her husband's earnings the following requirements must be met:

Retirement Savings Become Much More Crucial As Pensions Become Extinct And Social Security Changes.
Retirement income is often referred to as the three-legged stool because traditionally retirement income has come from three sources: pensions, Social Security and your own savings. Well, the three-legged stool is looking pretty lopsided for many people these days as pensions become extinct and Social Security changes take place.

How Are Social Security Benefits Calculated? Several Facts & Issues Having Effect On The Benefits
One of the most popular Social Security questions that I hear from baby boomers getting ready to retire is "how are Social Security benefits calculated?" This is an important question because it could affect how long you need to work, whether you should continue to work during your retirement years

Learn How To Apply For Social Security
If you areapproaching retirement, you are probably already looking into how to apply for Social Security benefits. Generally, you can apply once you are within 120 days of your 62nd birthday. There are several things you should know to make the application process as smooth as possible.